Japanese stocks closed higher on Monday, April 4, following the rise in Wall Street at the beginning of the week, supported by gains in stocks related to the energy sector, after oil prices jumped due to the sudden production cut of the OPEC + alliance.
The Nikkei index increased 0.52% to close at 28,188.15 points, while the broader Topix index rose 0.71% to 2017.68 points.
Wall Street rose more than 1% on Friday, and the Nasdaq index achieved its largest quarterly percentage gain since June 2020, after signs of slowing inflation raised hopes that the US Federal Reserve may soon end the rate hike cycle.
In Japan, the energy exploration sector jumped 4.97% to lead the gains among 33 sub-indices on the Tokyo Stock Exchange.
Oil prices rose by about five dollars a barrel, after the sudden announcement of the OPEC + alliance to cut production further in an attempt to support market stability.
The oil refinery index increased by 3.67%.
Meanwhile, stocks of heavyweight chip-related companies fell, capping the Nikkei index’s gains. Advantest shares lost 4.23%, being the worst performer on the Nikkei index. Tokyo Electron fell 2.06% and Screen Holdings fell 3.09%.